London | The world’s largest active bond fund manager says markets are too optimistic about central banks’ ability to dodge a recession as they battle inflation in the US and Europe.

Daniel Ivascyn, chief investment officer at Pimco, which manages $US1.8 trillion ($2.7 trillion) of assets, said he was preparing for a “harder landing” than other investors, while top central bank chiefs prepare to continue their campaign of interest rate rises.

Financial Times